Buyer’s Tip: Deal Closing Surprises

Some surprises in your home are wonderful. A beautiful gift under a Christmas tree. An immaculately cleaned kitchen when you weren’t expecting it. A wonderful garden plot in a part of your yard you thought would be bare when you purchased in the winter. There are some deal closing surprises that are not so pleasant, however. 

These kinds of issues can pop up right around what SHOULD be one of the most exciting and happy days of the whole process: the closing date.

Once you make an offer on your new home and have it accepted, the last thing you want is a nasty surprise right after you take possession!

This IS something that can happen however – from massive messes to seemingly outrageous fees. But there are steps you can take to protect yourself and your investment. 

Who’s been sleeping in my bed?

I had buyers walk into their home after closing only to find someone living in the basement claiming to be their tenant. He was not there during the home inspection. This person claimed to have a “verbal lease” with the landlord. Police were called and fortunately, the person left within 24 hours.

It doesn’t always get resolved so easily however, and once the deal is closed it’s closed, and any problems with the house become your problems. You need to make sure that the home you are purchasing is as described in all of your contracts and agreements. 

Lesson – always have a pre-closing inspection of your home, even on the morning of closing. You need to protect yourself to make sure that there are no surprises after closing. This includes making sure that the seller removes all junk and is leaving the home in a clean and broom swept condition, which is indicated on most real estate agreements.

Are you actually ready to close?

Another problem that comes up frequently is that new home buyers forget there are costs associated with closing. These can include inspection, insurance, taxes and legal fees that you are responsible for paying upon closing the deal.

Many new home buyers put as much of their available money as possible into the down payment. This sounds excellent on paper, but can leave you at risk of finding yourself short for critical closing date fees. There is probably nothing worse than the sinking feeling of realizing that you can’t pay the necessary amounts to close. Sometimes you can request and receive an extension on some of these fees, but other times you can’t. Being in that situation puts you at risk of still MORE fees, legal action, and even sacrificing the deal entirely. 

Being fully aware of the potential deal closing surprises can save you thousands of dollars and hundreds of headaches.

As your Realtor, I can help make sure you are prepared  so that you don’t wind up with a surprise bill OR a surprise person! Call 416-762-8255 or e-mail me today, and we can make sure you know what is coming on closing day.